Motorola plans to buy Orthogon Systems, which specializes in wireless broadband technology.
Motorola, Inc. recently announced that it has signed a definitive agreement to acquire Orthogon Systems, a privately held — leading provider of high-performance fixed wireless solutions. The addition will expand the MOTOwi4 portfolio of IP, wireless broadband solutions. Motorola is an investor in the company and has been reselling Orthogon equipment since 2004.
Orthogon specializes in equipment using Orthogonal Frequency Division Modulation (OFDM) technology for point-to-point high speed wireless network connections with guaranteed uptimes for corporate customers and rural networks.
The company’s technology is unique because it uses special space-time coding to build non-fading radios in the 5.8GHz spectrum. The technology uses a composite of radio bands which results in high noise resistance and makes it immune to physical obstacles between the transmitter and recipient. This means the radios can be used without requiring a direct line of site between the radio and the receiver.
OFDM can be used to connect office buildings or to provide wireless internet services to small villages where a wired infrastructure would be too expensive.
Motorola may be best known for manufacturing cell phones, such as the popular Razr. But it also offers a wide range of products that provide cellular operators and corporate customers with high-bandwidth point-to-point wireless products that can be used to connect cellular sites, replace leased data lines, connect wireless access point clusters, serve as a backbone for mesh networks, and link corporate and institutional campuses and remote sites.
Orthogon’s industry leading expertise in wireless Ethernet connectivity is highly strategic to Motorola’s rapidly growing wireless broadband business. A pioneer in intelligent OFDM-based, wireless IP, point-to-point transmission solutions, Orthogon has developed and successfully marketed innovative, software-defined Ethernet bridges. With this acquisition Motorola will enhance its OFDM capability and broaden the support of its MOTOwi4 wireless broadband offerings — including WiMAX, Mesh Solutions and Canopy products — and accelerate the growth of its existing wireless IP access business. Motorola expects to advance Orthogon core technology to build it into a series of future products.
Motorola is also developing WiMax products for both fixed and mobile applications. Last year, the company announced it would collaborate and share testing and design information for new mobile WiMax technology using the 802.16e standard with chipmaker Intel.
"Orthogon is at the forefront of innovation in wireless OFDM point-to- point solutions and is highly complementary to Motorola’s MOTOwi4 wireless broadband capabilities," said Greg Brown, President, Motorola’s Networks and Enterprise business.
Orthogon products and technologies will advance Motorola’s vision of seamless mobility by providing customers with easy, uninterrupted access to communication and information. By combining Orthogon’s expertise and best-in-class product portfolio with Motorola’s strength in product and technology development, we are confident that Motorola will be a stronger competitor with a broader product portfolio and enhanced prospects for continued growth and success.
"This is an outstanding transaction for our company and we look forward to taking our solutions to the next level as part of Motorola," said Philip Bolt, President and CEO of Orthogon. Motorola is at the forefront of mobile communications and wireless broadband technology, making it the ideal partner for Orthogon. This combination creates exciting future growth opportunities for Orthogon, our customers and our employees and we look forward to joining the Motorola team.
Orthogon, headquartered in Ashburton, England, is known for delivering true non-line of sight and reliable connectivity in the most challenging environments. The Company has an impressive portfolio of products and technologies including its award-winning wireless Ethernet bridges that are renowned for their high performance, security, and ease of installation and management. Since July 2003, Orthogon has installed thousands of wireless links, successfully connecting disparate networks within corporate enterprises, service providers and municipalities in 53 countries worldwide.
Terms of the transaction were not disclosed. The acquisition, which is subject to regulatory and other customary conditions, is expected to close in the first half of 2006.